Ginnybax

No, the KO didn't. Thanks all, for your help!

Yes, FAR 52.212-4 Alternate 1 is in the contract.

Yes, the contract is being used for for T&M commercial services. The CLIN was for labor hours, but the KO is now changing it to T&M and is now adding the travel money back into the K to the T&M CLIN by a mod.

Thank you for your responses. We are a developer of commercial software, and the items on contract are commercial items, therefore, based on my interpretation of the regs, we are exempt from CAS. In my almost 35 years in this field, I have never seen a KO take this position and I wanted to make sure I wasn't missing something.

Has anyone ever heard of a Government agency applying CAS clauses to an ODC CLIN (for travel expenses) in a contract in which the only other CLINS are for FFP work and labor hour work? This agency claimed that CAS applied to the travel CLIN because it was a cost reimbursement CLIN. We ended up removing the travel CLIN (and the CAS clauses) because my company does not do cost reimbursement work and never has.